Supreme Court Verdict: Ex-Coinone Execs Guilty of Bribery
South Korea’s highest court upheld the previous jail terms and penalty fee verdict against Ex-Coinone executives. Hence, aside from paying imposed fines, the convicted former executives, Jeon and Kim, will continue their prison terms. Notably, the Supreme Court verdict follows earlier rulings by lower courts, where Jeon and Kim hoped to appeal an initial court verdict. Previous Verdict By District Court Jeon and Kim exclusively held top positions in the exchange as former General directors and managers of the coin listing, respectively. They were both arraigned before the court for allegedly accepting bribes in exchange for listing altcoins. In the court, Kim denied knowledge of Jeon’s price manipulation escapades. In response, the presiding judge countered Kim’s claims, stating that his arguments lacked the basis to reverse previous rulings. Meanwhile, the prosecuting lawyers displayed reports confirming that Jeon and Kim received the fiat and crypto asset bribe with full consent. Hence, the Seoul Southern District Court sentenced Jeon and Kim to a four year and a 3.5-year jail term, respectively. In addition, a $1.4 million penalty fee was imposed on Jeon, while Kim received a lower fine at $585,000 . For context, the prosecuting party revealed that Jeon began accepting bribes in 2020 totaling up to $1.4 million. On the other hand, Kim’s accumulated illegal funds summed up to $743,000 within two years and five months. The Supreme Court Verdict Expectedly, the implicated executives filed an appeal to the Supreme Court to overturn the local district and high court rulings. However, the appeal met a dead end as they have remained guilty as charged. The Supreme Court also found Jeon and Kim guilty of obstructing Coinone trading activities by manipulating prices. Additionally, the Supreme Court concluded by stating that previous rulings contained no errors. Hence, there are no convincing grounds to overturn initial court verdicts.
How Does Public Key Cryptography Work?
Imagine whispering a secret in a crowded room, but only the intended person can clearly hear you. Public key cryptography makes this possible online using a unique two-key system: a public key that you share and a private key that you keep secret. With this system, anyone can send you encrypted messages using your public key (like whispering in the crowd), but only you can decrypt them using your private key (hearing the whisper clearly). This blog will explore how public key cryptography works, its applications, and its crucial role in maintaining data security. Key Takeaways Understanding Cryptography Shutterstock Cryptography, derived from the Greek words ‘Kryptos’ meaning hidden, and ‘graphein’ meaning to write, is the practice of securing communication from unauthorized access or modification. It involves transforming information to make it unreadable to anyone except the intended recipient. Let’s break down some key terms: The history of cryptography dates back to ancient times. The Egyptians used hieroglyphics to hide the meaning of their writings. During World War II, the Germans used the Enigma machine to secure military communications. Today, we primarily rely on two main types of encryption: Symmetric Encryption Shutterstock Symmetric encryption is a method that uses a single secret key for both encryption and decryption, much like a padlock in which the same key opens and closes. This approach is simple and fast, but it poses challenges in securely sharing the key with multiple parties. Ensuring that the key remains secret and is not intercepted during exchange is a significant security concern. Symmetric encryption is widely used in various applications due to its efficiency. Here are a few examples: Data at Rest Symmetric encryption is commonly used to protect data at rest, that is, data stored in databases, hard drives, or other storage mediums. It helps prevent unauthorized access to the data if the storage medium is lost or stolen. Examples include full-disk encryption (like BitLocker and FileVault) and database encryption. Data in Transit Symmetric encryption is often used for secure communication channels like virtual private networks (VPNs) or encrypted messaging apps. The data is scrambled while traveling between sender and receiver, making it unreadable to anyone intercepting it. File and Disk Encryption Symmetric encryption is used in file and disk encryption software to protect sensitive data. The same key is used to encrypt and decrypt the files or disks. Wireless Security Protocols like WPA2 use symmetric encryption to secure wireless networks. The same key is used to encrypt and decrypt the data packets sent over the network. Asymmetric Encryption Shutterstock Asymmetric encryption involves two keys: a public key and a private key. The public key is used for encrypting the data or message, while the private key is used for decrypting the encrypted data or message. As the name suggests, the public key can be shared with anyone who wants to send you an encrypted message. However, the private key must be kept secret and known only to the person who wants to decrypt the message. For example, Let’s say Alice wants to send a secure message to Bob. Bob generates a pair of keys: a public key and a private key. He then shares his public key with Alice. Alice uses Bob’s public key to encrypt her message before sending it to Bob. Once Bob receives the encrypted message, he uses his private key to decrypt it and read its contents. This process ensures that only Bob can read the message, maintaining the confidentiality of their communication. How Does Public Key Cryptography Work? iStockphoto Public Key Cryptography changes secure communication by employing asymmetric encryption techniques, where two distinct keys are used: a public key, accessible to everyone, and a private key, kept confidential by the owner. The public key functions as a universally usable lock, while the private key serves as the sole means of unlocking it. Thus, while any individual can secure information using the public key, only the owner of the corresponding private key can access the original content. Public and Private Keys The heart of public key cryptography lies in using a unique two-key system. They are: Key Generation and Distribution The keys are generated together using special mathematical algorithms. The public key is made available to everyone, while the private key is kept secret. Let’s explain key generation and distribution from the perspective of cryptocurrency wallets. When you create a cryptocurrency wallet, a unique pair of cryptographic keys is generated. This pair consists of a public key, which is your wallet address that others can see and send funds to, and a private key, which is confidential and used to sign transactions and access your funds. The private key is often represented as a passphrase or a seed phrase, a series of randomly generated words. This seed phrase is crucial for the recovery of your wallet if you lose access to your device. It serves as the master key to your digital vault of cryptocurrencies. Therefore, it’s of utmost importance to keep this seed phrase secure and private. On the other hand, the public key, or wallet address, is shared openly whenever you need to receive funds. It’s like your email address for cryptocurrencies. Anyone can send funds to this address, but only the person with the corresponding private key (or seed phrase) can access and spend those funds. By relying on this key generation and distribution mechanism, cryptocurrencies enable secure and decentralized ownership of digital assets, ensuring that only the rightful owners with the corresponding private keys can access and control their funds. Encryption and Decryption Process The magic of public key cryptography unfolds through the encryption and decryption process: Encryption with the Public Key When someone wants to send you a secure message, they obtain your public key, which is openly available and can be freely distributed. This public key acts as an encryption tool, allowing anyone to encrypt data intended for you. The sender then takes their plaintext message and runs it through a mathematical algorithm along with
Do Cryptocurrencies Grow While They Are In A Wallet?
Cryptocurrencies have captured the imagination of investors worldwide, promising exciting opportunities for growth and profit. However, a common question among crypto enthusiasts is: “Do cryptocurrencies grow while they are in a wallet”? Understanding how digital assets behave when stored is crucial for making informed investment decisions. This article explains the dynamics of holding cryptocurrencies in wallets. It also looks at the different types of wallets and the risks with each one so you can make informed choices about your crypto assets. By the end, you’ll have a clearer picture of what to expect from your crypto holdings while they sit securely in your wallet. Key Takeaways What Happens To a Cryptocurrency in a Wallet? Crypto wallets let you store, send, and receive cryptocurrency. It’s like a storage account for your digital assets and can be affected by the value in the market. This means that after buying a cryptocurrency like bitcoin, storing it in a wallet does not secure it from the impact of market fluctuations. If the value increases or decreases, your assets will be affected. Therefore, it is important to research the type of coins to buy and the wallets with top security levels for your assets. What Are The Different Types of Wallets To Store Your Crypto? When you move your cryptocurrencies into a wallet of choice, you automatically gain control over all the assets stored therein. These wallets do not have direct control over the growth of your cryptocurrencies. They only provide a decentralized and secure means of holding your cryptos. These are different types of wallets where your cryptocurrencies can be stored: Does Cryptocurrency Grow? No, cryptocurrencies do not just grow by being stored in a wallet. The growth of cryptocurrencies depends on various factors, including market sentiments. As seen in traditional banking, holding crypto in a wallet alone does not generate returns like interest or dividends. So, it is safe to say that cryptos in a wallet do not grow in number unless after a transaction, but the values may increase or decrease. Does Investment or Storage Grow Cryptocurrencies? Depending on your intention, you can store crypto assets in wallets as an investment or just to keep them for the future. When you invest in cryptocurrencies, you do so with the expectation that the prices of these assets may rise, but also with the risk that their prices might fall. It’s important to remember that whether you buy these assets to invest or just to store them, they are always subject to price fluctuations. How to Ensure Secure Crypto Storage Keeping your cryptocurrency safe in a wallet is very important. For several reasons, one may keep one’s assets in a wallet without actively trading. To store your cryptos long-term, utilizing storage options that protect your assets from hackers is best. Let’s look at some of the best ways to secure digital assets: Cold Storage Unlike hot wallets, cold storage means managing your assets offline. It is often less likely to be hacked. Consider cold wallets if you have a significantly high amount of coins to deposit. Regular Backups Back up your wallet regularly. This means saving a copy of the data in a safe place. You can restore your crypto using the backup if something goes wrong with your wallet. Avoid Acting Off Hypes Some investors rely on social media hype for their investment decisions and choice of wallets. With the fast changes in the crypto space, many scam gateways and wallets are also emerging. Avoid relying on social media promotions alone to make such decisions. Stay Updated Stay updated on crypto news regarding security from reliable sites that share news on wallet security. The more informed you are, the better you can protect your assets. What Can Influence Cryptocurrency Growth? If you have considered keeping your cryptocurrencies stored in a wallet, it is necessary to look at factors that can influence their value while stored. Factors that can influence cryptocurrency growth include: Choosing the Right Wallet for Growth When selecting a wallet for your cryptocurrency, consider your coin’s security and growth potential. Here are key features to watch out for: Interest-bearing Some wallets offer the unique ability to earn interest on your crypto holdings. This can be a way to increase your assets over time. Check for wallets that provide high-yield accounts or staking options. Security Features Wallets with strong security features such as two-factor authentication, multi-signature options, and cold storage capabilities guarantee more protection. User Interface Choose a user-friendly wallet. A good interface makes it easier to manage your transactions and keeps track of your investments without hassle. Reviews Research the wallet’s history and user reviews. A wallet with a good reputation in the crypto community is likely to be more reliable and trustworthy. Overall Compliance Ensure the wallet complies with financial regulations, which can protect you against fraud and other illegal activities. Compliance also indicates that the wallet is serious about security and consumer protection. Is My Wallet Secure? To determine the security of your crypto wallet, you should consider the following factors: Wallets That Can Make Crypto Grow Some wallets enable you to earn interest on your cryptocurrency, similar to a savings account. However, they may come with risks and conditions. These wallet features enable you to set up crypto interest accounts and partake in staking programs to increase the quantity of your crypto. This is not very direct, as there’s more to consider, such as the lockup periods and safety. Some crypto savings accounts offer better incentives for the perfect user experience. You have to choose reputable platforms and understand the terms and conditions. Risks Associated With Crypto Wallets Aside from security, there are other risks associated with crypto wallets that you should be aware of: Final Thoughts With increased market demand, staking rewards, and technological advancements, cryptocurrencies can grow by increasing their value while depositing in a wallet. While cryptocurrency growth is not guaranteed, these factors strongly impact the price of cryptocurrencies either way. Therefore, while cryptocurrencies
Do Banks Recognize Cryptocurrency? Find Out Here
To be direct, yes, some banks do recognize cryptocurrency. However, not all banks accept it, and some may even freeze your money if they detect cryptocurrency transactions. While cryptocurrency has global benefits and acceptance, many banks still see it as a threat. Some financial institutions have embraced it, but others reject it to protect their traditional operations. Different banks and countries have varying views on cryptocurrency. Some countries have strict regulations or outright bans because they fear economic instability and losing control over currency. In this article, we will explore why this is the case and look at which banks recognize cryptocurrency and which do not. Key Takeaways Rise in Popularity and Market Capitalization Image Source: Pixabay Key Milestones Cryptocurrency has come a long way since Bitcoin’s inception in 2009. One of the first big milestones was Bitcoin reaching parity with the US dollar in 2011. This event marked a significant moment, proving that a decentralized digital currency could hold real value. In 2013, Bitcoin hit $1,000 for the first time, catching the attention of mainstream media and investors. The following years saw the introduction of Ethereum in 2015, which expanded the use of blockchain technology beyond just a digital currency. Ethereum’s smart contract functionality opened the door to decentralized applications (dApps) and a whole new world of possibilities. 2017 was another pivotal year, often referred to as the year of the “crypto boom.” Bitcoin soared to nearly $20,000, and initial coin offerings (ICOs) became popular for startups to raise funds. This period saw an explosion in the number of cryptocurrencies and a significant increase in market capitalization. The crypto market took a big leap forward in 2020 and 2021, with Bitcoin hitting an all-time high of over $60,000. This surge was driven by increased institutional investment, mainstream adoption, and growing interest in decentralized finance (DeFi) and non-fungible tokens (NFTs). Major companies like Tesla and PayPal announced their involvement in the crypto space, further legitimizing it in the eyes of the public. Adoption by Retail Investors The rise in cryptocurrency’s popularity can largely be attributed to the growing interest from retail investors. Initially, the crypto market was dominated by tech experts and early adopters who believed in blockchain technology’s disruptive potential. But as more people saw others making money from crypto, they started to pay attention. Here’s what made it easier for regular people to get involved: This feeling of being part of something and having access to info made it easier for everyday people to start investing in cryptocurrency. Do Banks Recognize Cryptocurrency: Initial Response With all the efforts put in place to make cryptocurrency what everybody accepted, cryptocurrency is gaining the desired recognition. Let us look into how banks reacted to cryptocurrency in the first place. Image Source: Pixabay Early Skepticism and Resistance Then, when cryptocurrencies first emerged, many banks were wary and skeptical. The idea of a decentralized currency operating outside traditional financial systems was seen as a threat to their business model. Banks were quick to dismiss cryptocurrencies as a fad or a tool for illicit activities. High-profile bankers, like JPMorgan Chase’s Jamie Dimon, openly criticized Bitcoin, calling it a “fraud” and predicting its demise. This initial resistance stemmed from a lack of understanding and a fear of the unknown. Banks were comfortable with their existing systems and were not eager to embrace a technology that could disrupt the status quo. Concerns about Legitimacy and Security A major reason for banks’ early skepticism about recognizing cryptocurrency was their concern over cryptocurrencies’ legitimacy and security. The anonymity and decentralization that make cryptocurrencies appealing also make them susceptible to misuse. Banks worried about their potential use in money laundering, terrorist financing, and other illegal activities. Moreover, the security of crypto exchanges was a significant concern. High-profile hacks, such as the Mt. Gox incident in 2014, where $450 million worth of Bitcoin was stolen, reinforced fears about the safety of digital assets. The lack of insurance for cryptocurrency holdings and the irreversible nature of blockchain transactions further contributed to banks’ hesitance. Regulatory and Compliance Challenges A major factor that made the banks avoid cryptocurrencies was regulations and compliance. It is pertinent to state that digital currency regulation was and still is in a state of dynamic growth. Banks function in very sensitive industries that have hefty and effective AML and KYC measures in place. There needed to be more clarity because no stipulations or regulatory frameworks were friendly to cryptocurrencies. Banks were still determining how they could incorporate the use of digital assets into their activities without violating regulatory provisions. Due to this kind of regulation, it was dangerous for banks to offer their services to cryptocurrencies because if they didn’t, they could fall foul of the authorities and lose their licenses. Government Response to Cryptocurrency After the initial slow response of the bank to cryptocurrency due to the conditions attached to it, let’s now consider looking into the angle at which the government views it. Image Source: Pixabay Central Bank Digital Currencies (CBDCs) In response to the rise of cryptocurrencies, many governments and central banks have started exploring the concept of Central Bank Digital Currencies (CBDCs). Unlike decentralized cryptocurrencies, CBDCs are issued and regulated by a country’s central bank. They aim to combine the benefits of digital currencies, such as faster transactions and reduced costs, with the stability and trust associated with traditional fiat currencies. Several countries, including China, Sweden, and the Bahamas, have launched pilot programs for their own CBDCs. These digital currencies are designed to work alongside cash and traditional bank accounts, providing a government-backed alternative to cryptocurrencies. Bank Issued Stablecoins Another government response to the crypto boom is the development of bank-issued stablecoins. What does that mean? Stablecoins are digital currencies pegged to a stable asset, such as a fiat currency or a commodity like gold. This pegging aims to reduce the volatility often associated with cryptocurrencies. Banks and financial institutions see stablecoins as a way to leverage blockchain technology while maintaining the stability